Mississippi Community Recognized For Reducing Flood Risks

ATLANTA – Biloxi residents with flood insurance policies will now receive a decrease on their annual flood premiums thanks to the city’s active participation in the National Flood Insurance Program’s Community Rating System.

FEMA Region IV Floodplain Management and Insurance Branch Chief Susan Wilson recognized Biloxi officials today with a plaque for the city’s efforts in becoming the third city in the state to earn a Class 5 community rating.

“Reaching a Class 5 rating is so rare nationwide that it really speaks to the local officials and their hard work and determination,” Wilson said. “They understand the extra effort isn’t just for a decrease to insurance premiums, but it is ensuring the entire city is more resistant to flood damage and more disaster resilient overall.”

The CRS rewards communities that voluntarily take steps to reduce flood risks beyond the minimum requirements of the NFIP. These steps, which include increasing flood protection and implementing preparedness and mitigation activities, lead to safer communities and ultimately help saves lives and property. As a result, property owners and renters in CRS-participating communities enjoy a reduction in flood insurance premiums. Communities are ranked from a 10 to 1 scale which determines their flood insurance discounts.

Biloxi policyholders began receiving flood insurance discounts from the CRS program in 1996. As a result of additional steps the community has recently taken, the community moved from a CRS Class 6 to a CRS Class 5 effective May 1, earning an additional five percent savings on flood insurance.

There are more than 5,900 flood insurance policies in Biloxi, representing more than $1.5 billion in flood insurance coverage. Policyholders located in the high risk areas of flooding, or Special Flood Hazard Areas, can now receive a 25 percent discount on their policy premium, which is an average savings of $285 per policy. Some policyholders in the lower risk areas are eligible for a 10 percent discount. In total, policyholders realize an annual savings of more than $437,000 because of the community’s CRS participation.

CRS is a voluntary program for NFIP-participating communities. The intended goals of the program are to reduce flood losses, facilitate accurate insurance ratings and to promote the awareness of flood insurance. The two other Mississippi communities to earn a Class 5 rating are Pascagoula and Waveland.

FEMA’s mission is to support our citizens and first responders to ensure that as a nation we work together to build, sustain, and improve our capability to prepare for, protect against, respond to, recover from, and mitigate all hazards.